New India Car Insurance

A government undertaking, New India Assurance Co. Ltd. was established in 1919 by Sir Dorabji Tata and has domestic as well as international operations. It is an Indian general insurance provider that is headquartered at Mumbai. The company has been a leading insurance provider in the non-life insurance sphere for more than 4 decades. The company is known for its robust financials and delivery commitment.

New India insurance company's presence is felt all over the country, reaching a large and growing customer-base through its numerous distributors. The company has many offices, agents, micro offices, dealers, bancassurance partners, manufacturers, NGOs as well as corporate tie-ups. It is operational in over 22 countries through a vast network of associates, subsidiaries, branches and agencies. Their products and services provide assurance solutions to various clients in the retail, business, SMEs and social sectors.

With the Indian Government making it mandatory for all vehicle owners to have vehicle insurance, New India Assurance Co. Ltd. has a line of products in the vehicle insurance category, which provides comprehensive protection and also offers excellent perks and benefits. The Package Motor Policy by New India Assurance is a part of its personal insurance offerings. The policy bestows upon the policyholder the right to be compensated in the event of any unfortunate mishap involving the insured vehicle.

Coverage

Private cars that are insured under this policy are given the following covers:

• Own-damage cover: Any loss to the insured car including its accessories caused by environmental disasters or public disruptions or in-transit damages are included in this coverage. Additionally, the expenses incurred on towing the car during a breakdown to the nearest service center are also covered, subject to a limit of Rs.1500.

• Third-Party Liability: This is a compulsory coverage in which all losses suffered by a third party in an accident where the insured car is involved is borne by the insurer. This coverage includes amounts awarded by the Court in case of loss of life, damage to property and physical injuries up to the amount of Rs.7.5 lakh.

Exclusions

The following circumstances are excluded from insurance claims:

• General wear and tear to the car due to natural aging

• Damages caused to the vehicle when the driver was either not carrying a driver’s license or drunk driving or driving after consuming mood/mind stimulating substances.

• Electrical or mechanical breakdowns.

• Damages to the tires and tubes of the vehicle

• Damages to the vehicle during a war, mutiny or nuclear attacks

• Depreciation of the vehicle

• Damage or loss of the vehicle while it is outside India

Add-on Covers

New India Motor Insurance offers the following additional covers under their comprehensive plan to policyholders who pay an extra premium:

• Damage or loss occurring on vehicle accessories like fans, air-conditioners, music system, etc.

• Personal accident cover for passengers and paid drivers

• Coverage for legal liability expenses to employees

• Coverage for legal liability expenses in case of commercial vehicles to passengers who aren't paying a fare to ride in the insured vehicle

Depreciation

Depreciation refers to the loss in the value of a vehicle over a period of time. A car's value begins to depreciate after its purchase. All insurance companies calculate a vehicle's Insured Declared Value (IDV) based on its depreciation. IDV is calculated by deducting the depreciation value from the manufacturer’s listed price of the vehicle. These amounts are considered for Total Loss or Constructive Total Loss of the automobile for a period of up to 5 years. Beyond this and for models that are out-of-production, the amount to be deducted as depreciation is based on a mutual decision between the insurer and the vehicle owner.

Apart from the car's age, the city where it was registered and the car's engine capacity, the IDV of a car also contributes to determining its insurance premiums. Vehicle owners must be aware of the depreciation element of their cars as it would help them understand the impact it can have on the car insurance.

Each part of the vehicle depreciates. The cost of parts is quite high, especially for expensive and luxurious cars. In order to protect a vehicle from depreciation, customers can opt for zero depreciation add-on cover offered by many insurers. It's an add-on cover that can be purchased separately from the insurer by paying an additional premium. If such an extra cover is added to the comprehensive motor insurance policy, the total coverage is amplified manifold.  

Discounts

New India Car insurance offers the following discounts to its customers:

• No Claim Bonus bonus is applicable when policyholders renew their policy without filing for any claim in the policy terms. The bonus becomes a discount of 20% to 50% on the premium charged towards own-damage protection, depending upon the number of claim-free years. The percentage of bonus is determined by the number of claim-free years achieved by the policyholder. The NCB is applicable only with the renewals are done within 90 days of policy expiry.

• Installation of anti-theft devices that are approved by the ARAI

• Membership of a recognized automobile association of India

• Classic or Vintage cars that are recognized by the Vintage and Classic Cars Club of India

Claims Process

Customers of New India Car Insurance have to follow the steps mentioned below to make claims under an existing policy. The procedures are different for different types of claims

Accidental Damages

• The policyholder should inform the nearest branch office of New India Insurance in case of accidental damages to the insured vehicle and obtain a claim form

• The policyholder must fill up the claim form and submit it along with copies of the vehicle's registration certificate, a repair estimate and the driving license of the person who was driving the car when the accident occurred.

• The insurer will appoint a surveyor to inspect the damaged vehicle, following which, he/she will submit a report to the insurer. In case of major damages to the vehicle in an accident, the company might arrange for a spot survey of the location.

• The policyholder will then have to submit all cash memos and bills to the company.

• Once the company approves the claim, the policyholder will be asked to submit a recovery quote of the damaged parts to the insurer.

Theft

• First and foremost, the policyholder must lodge an FIR (First Information Report) with the nearest police as soon as the incident occurs.

• Next, the policyholder must intimate the policy-issuing branch of the insurer about the incident and submit a copy of the FIR.

• The insurer will appoint a surveyor to investigate the matter.

• The Final Police Report has to be submitted later.

• The claim will be approved after the surveyor’s investigation is completed.

Liability Claims

• To make a liability claim, the policyholder must first inform the insurer about the occurrence leading to a liability claim.

• The policyholder will receive a summons from the court and send the same to the insurance company.

• Policyholders must then submit the duly filled up claim form with the copies of his/her driving license, the registration certificate of the vehicle and the FIR.

Customer Care

• Customers can reach the New India Insurance customer care department by calling the toll-free number: 1800 209 1415

• They can also visit the website and fill up an online query form to request for a callback.

• Customers can walk into the numerous offices of the insurer to seek assistance.

• The website offers several locators to find the locations of the company's branch offices as well as the authorized garages for cashless servicing.

FAQs

Which documents are required to raise a claim with New India Car Insurance?

The documents to be submitted while registering a claim are :

• Claim intimation that was sent to the insurer

• Copy of the policy certificate

• Premium payment receipt

• The claim form - duly filled and signed

• A copy of the owner's/driver's driving license

• Registration Certificate of the vehicle

• Estimate of repairs which a stamped receipt from the repairer

• Bills of repairs that are already done at approved garages.

• Road tax verification

• Police FIR if applicable

• Any additional document as per the requirements

What does the Liability-only policy cover?

The liability-only policy covers the owner's liability to recompensate for property damages, fatal injuries or harm to a third party. It does not cover damage or injury to the car and its passengers.

What does Motor Package policy of New India Car Insurance offer?

The Motor Package policy covers the following risks to the vehicle:

Loss or damage caused due to accident, theft, strikes, explosion, fire, natural disasters, malicious acts like vandalism, terrorism, and in-transit damages. The coverage also includes towing charges.

Which instances are not covered under New India Car Insurance policy?

The following circumstances are excluded from insurance claims:

• General wear and tear to the car due to natural aging

• Damages caused to the vehicle when the driver was either not carrying a driver’s license or drunk driving or driving after consuming mood/mind stimulating substances.

• Electrical or mechanical breakdowns.

• Damages to the tires and tubes of the vehicle

• Damages to the vehicle during a war, mutiny or nuclear attacks

• Depreciation of the vehicle

• Damage or loss of the vehicle while it is outside India